Fintech startup automates financial services for freelancers

Hnry uses predictive software to help the self-employed better handle taxes and other finances

Spotted: New Zealand-based startup Hnry is providing financial services for the self-employed. It automates tasks like billing and paying taxes using predictive analytics software.

Hnry assigns clients to a bank account. The program then uses predictive software to calculate taxes and other expenses that should be deducted. After this, it issues a payslip for what is left.

Hnry is different from existing financial software in that it uses a pay-as-you-go model. The firm says that the service also goes beyond software because it has a team comprised of certified accountants. The service costs 1 per cent of a client’s freelancer income and is capped at a maximum of €1,800 for those who earn over €180,500.

The service was developed by three former freelancers — Claire Fuller, Richard Freestone and James Fuller — upon realising that they were spending too much time calculating finances. They then teamed up with some of New Zealand’s biggest accounting firms to design the software.

Takeaway:

An estimated 4.8 million people in the UK, and 162 million in the EU, work in the gig economy. Traditional banking services can be too expensive or simply not be available for gig-economy workers. The success of Fintech startups like Hnry illustrates the growing need for financial services tailored to smaller clients.